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Daily Market Comment – Dollar on the defensive, market rally pauses

Posted on November 26, 2020 at 9:24 am GMT

Stock markets pause for breath, currencies quiet too Dollar the only notable mover, extends recent losses Crude oil retreats from highs as OPEC meeting looms Sterling in the spotlight as Brexit headlines turn cautious Markets calmer on Thanksgiving The ecstatic mood that prevailed in global markets earlier this week seems to have faded for now, with stock markets being essentially flat since Tuesday and most currency pairs confined in narrow trading ranges. There is a sense that investors are waiting [..]

Technical Analysis – EURUSD retreats after hitting 3-month high

Posted on November 26, 2020 at 9:11 am GMT

EURUSD has been in an upside tendency since November 4, recording a fresh three-month peak of 1.1940 earlier today. According to the technical indicators, the RSI is holding near the 70 level but is flattening, while the stochastic posted a bearish crossover within its %K and %D lines in the overbought territory. Should the pair strengthen its positive momentum, the next resistance could come around the 1.2010 barrier, registered on September 1. More advances could take the pair until the inside [..]

Technical Analysis – AUDUSD tries to test 2-year high; remains in trading range

Posted on November 26, 2020 at 7:52 am GMT

AUDUSD is surpassing the 0.7340 barrier in the consolidation area of 0.7000-0.7413. The upside tendency this month started after the bounce off the 0.7000 psychological mark and more increases could come if there is a break of the upper bound of the channel. The momentum indicators seem to in a horizontal mode. The RSI is flattening near the overbought territory, while the MACD is trying to extend its bullish structure above its trigger line. However, the 20- and 40-day simple [..]

Oil rides vaccine euphoria higher, will OPEC help? – Special Report

Posted on November 25, 2020 at 4:33 pm GMT

Crude oil staged a heroic rally lately, with the vaccine news acting as jet fuel for prices. Investors are finally pricing in a brighter outlook for demand next year, but that is only half of the equation. The other half is what the supply side will look like, so crude’s fate now lies in OPEC’s hands, which will meet on Monday to decide whether to extend its production cuts. A three-month extension seems fully priced in by now, so if [..]

Technical Analysis – EURGBP maintains gradual decline; price capped by 50-MA

Posted on November 25, 2020 at 3:57 pm GMT

EURGBP’s recent improvements were curbed by the falling 50-period simple moving average (SMA), redirecting the price southwards. The pair looks to apply significant pressure once more on the 0.8860-0.8873 critical support base. All SMAs are downward-sloping and maintain a predominantly bearish heading, promoting further declines in the pair. The short-term oscillators suggest positive directional momentum is fading. The MACD, in the negative region, is rising above its red trigger line but is finding it difficult to stretch above zero. The [..]

Technical Analysis – Gold bounces off 1,800; broader outlook is bearish

Posted on November 25, 2020 at 2:37 pm GMT

Gold prices rebounded off the 1,800 significant round number, which is a new four-month low, achieved on Wednesday. The yellow metal is currently approaching the red Tenkan-sen line around 1,818 and the momentum indicators are turning higher. The RSI is testing the 30 level, suggesting that an upward retracement is on cards, while the stochastic posted a bullish crossover in the oversold territory. In case the pair changes its short-term direction to the upside, the bulls will probably challenge the 1,818 immediate [..]

Australian Q3 capex eyed ahead of GDP data as aussie flies on vaccine news – Forex News Preview

Posted on November 25, 2020 at 9:16 am GMT

The Australian dollar is moving slightly higher against the US dollar over the last month as investors are waiting for the capital expenditure data for the third quarter on Thursday at 00:30 GMT ahead of the GDP figure on December 2. In the meantime, the aussie is forming a positive structure on the back of the positive vaccine news, which have opened up a pathway to a safe Australia, with the first doses set to be distributed to healthcare workers and the elderly by March. Will Capex affect GDP numbers? Capital [..]

Technical Analysis – NZDUSD’s ascent pauses but confidence remains intact

Posted on November 25, 2020 at 9:06 am GMT

NZDUSD is sustaining its bullish demeanour despite sentiment slowing to a degree, after reaching a 29-month high of 0.7004. The Ichimoku lines are preserving the pair’s positive bearing, while the rising simple moving averages (SMAs) are defending the bullish structure. The short-term oscillators reflect some waning in positive momentum. The MACD, some distance north of the zero line, is flattening above its rising red trigger line, while the RSI, merely above the 70 mark, is pointing southwards. Moreover, the stochastic [..]

Technical Analysis – USDJPY hovers within SMAs; still stands in descending channel

Posted on November 25, 2020 at 7:04 am GMT

USDJPY is pointing slightly upwards, touching the 20- and 40-day simple moving averages (SMAs), remaining in a descending channel since March 3. According to the technical indicators, the MACD is approaching the zero line, holding above its trigger line, while the RSI is touching the neutral threshold of 50 in the near term. A successful increase beyond the 40-day SMA could find immediate resistance at the upper surface of the downward sloping channel at 105.35. If the bulls manage to [..]

Technical Analysis – EURCHF blocked as upside attempt breeds no result

Posted on November 24, 2020 at 3:49 pm GMT

EURCHF is struggling once again at the overwhelmingly toughened buffer zone of 1.0824-1.0847, containing numerous peaks since late July. The price today spiked touching the 1.0847 level, which happens to be the 61.8% Fibonacci retracement of the down wave from 1.1058 until 1.0504, before returning to its pre-consolidating demeanour. Nonetheless, the small upturn in the slopes of the simple moving averages (SMAs) may assist the price to nudge higher again. The short-term oscillators are reflecting a pause in directional momentum [..]

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